BlackRock today launched the iShares Bitcoin Premium Income ETF (Nasdaq: BITA), a new exchange-traded product that holds spot bitcoin and shares of the iShares Bitcoin Trust ETF (IBIT) while selling call options on a portion of those holdings to generate monthly income for investors.

The fund writes call options on roughly 25% to 35% of its IBIT holdings, collecting option premiums that are distributed to investors each month. 

The structure preserves the bulk of bitcoin exposure, allowing participation in price appreciation while producing an income stream — a combination that BlackRock says a growing portion of its client base has requested.

“A significant segment of…

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